Business Ideas

 

 

Your IN-HOUSE ADVERTISING AGENCY

 

An "Ad Insertion Form" is attached herewith to assist you in processing the orders you recieve from your clients or businesses. This is an important document for your agency and you can always make changes to suit you and your clients. 

 

An "In-House" Agency can be defined as an internal agency formed to make and place your ads without recruiting a external agency. So once the ad is a success, you deduct your commission between 10-15%. However using the right Form is of utmost important as compared to doing it on the company letterhead. And also make sure all the forms and stationery you use spell your name like- Brown & Bob Advertising Agency rather than just Brown & Bob Company.

 

So its a good ideas to print your own customised letterheads to be known to everybody and also be able to distinguish yourself from the company. You could use them while communicating with your publishers and media. 

 

 

One main advantage of using the right professional Form is that you qualify for discount rates provided by publishers to certain recognised agencies. So This Form will get your foot in the door.   

 

The three critical points in making a successful "In-House" advertising agency is

1. The right FORM

2. Advertising Agency masthead or customised stationery

3. Remittance with order

 

It is mandatory to go around and get the current Rate Cards from all the publishers and advertising media. This way to get the current and updated information about advertising rates, commissions, discounts offered, product requirments, classified advertising rates, deadlines, their circulation records and cancellation charges.

 

 

RIGHTS, LIABILITIES AND GENERAL ASSUMPTIONS

 

It is the responsibility of the advertisers and advertising agencies to assume liability for the advertisement text, representation and illustrations used. They are also liable for any claims against the publisher thereafter. Hoever, publishers are not responsible for key number mistakes and illegible copy matter. Further no allowances are made for such incidents. Publishers also cannot make proof corrections if not received by the closing dates. 

Cash with order is required unless you are going in for credit.

 

The publishers will have the final word in revising copy of ads and they can also decline ads which request

a advertiser to submit his literature even before accepting an ad. If advertisers use a post office box number as mailing address, they must provide a full name and alternate address for recordkeeping.

 

The rates can change without notice with exceptions of contracts already agreed upon by both parties. If you are placing a classified ad, proofs will not be provided, but quality of insertion is guaranteed.

 

If you are using some original art, it should be ready for camera. If you are using more than two colors, ideally it must be attached to black art on an overlay with clear indications such as trim and bleeds to avoid any confusion.

 

Advertisements which are focussed at the editorial should be boldly marked and labelled as "Advertisement."

 

California law states that all mail order advertising for companies should have a mandatory legal address.

 

WHERE TO FIND PUBLICATION ADDRESSES, ADVERTISING RATES AND REQUIREMENTS

 

There bokks for professional advertising agencies which contain detailed information about publication addresses, advertising rates and other requirements. But they can be expensive. The alternative is to check your local library. You cannot borrow them, but you could use the reprographic machine to copy as many pages as you like. Some of the leading ones are given below- 

 

"BUSINESS PUBLICATIONS RATES & DATA" - has information about 4,000 business, trade and technical publications, contains editorial profiles, rates, mechanical requirements, copy regulations, circulation, personnel, issue and closing dates.

 

"CONSUMER MAGAZINE & FARM PUBLICATION RATES & DATA" - has about 1,500 consumer and 200 farm publishers. Also includes editorial profiles, copy regulations, circulation, personnel, ad rates,mechanical requirements, issue and closing dates.

 

"NEWSPAPER RATES &DATA" 1,600, U.S. daily newspapers, newspaper groups, supplements and comic section. Includes pecial features, contract and copy regulations, ad rates, mechanical requirements and latest circulation figures.

 

"CO-OP SOURCE DIRECTORY" - Over 2,800 co-op advertising programs. Each includes ad specifications, media requirements, aids available from manufacturers, eligible media, timing, accrual, participation, reimbursement method and more.

 

"COMMUNITY PUBLICATION RATES & DATA" - All NAAP members, weekly newspapers and shopping guides. Includes closing time, circulation, personnel, ad rates, and mechanical requirements.

 

All the above books are published by Standard Rate and Data Service, Inc., 5201 Old Orchard Road, Skokie, IL 60077. They would be happy to mail you the detailed literature and price lists on your letterhead.

 

"CATHOLIC PRESS DIRECTORY" - A huge database of American Catholic magazines with a total circulation of over 30 million. Your client's product or service has a big chance of getting responsive audience among American Catholic magazine readers. Their addres is Catholic Press Association, Suite 401, 119 North Park Avenue, Rockville Centre, NY 11570.

 

WHY NOT PLACE ADVERTISEMENTS FOR OTHERS TOO?

 

If you want to grow your in house agency, you must hink beyond the box, about small mail order firms too. They normally have small ads and a great repeat business for the years to come. Every business, big or small has to change its ad to remain in the business. So you are guaranteed of work in the future and the investment is not much. Apart from this, there is no product to worry about, so no overhead costs. 

 

Use reference guides to make your own ad rates catalogue. To get a better idea and more knowledge get copies of Advertising Guide Books from small mail order Advertising Agencies given below -

 

 

Chicago Advertising Agency       Columbia Advertising Agency

28 E Jackson Blvd.               P.O. Box 1285

Chicago, IL 60604                Richmond, IN 47375

 

 

National Mail Order Classified   Morlock Advertising Agency

Post Office Box 5                188 W Randolph St.

Sarasota, FL 33578               Chicago, IL 60601

 

 

 

ARE YOU PROGRESSING?

 

Capital growth is the main indication of a growing advertising agency business. Check how much is it valued today compared to same time last year or three years ago. You can find this under 'Capital' on the agency's balance sheet. This will exactly tell you where you are heading, growth rate and how well you have done. As this is a service business and there is no product, you will not know whether you are making money or putting more money into the business. Also you cover your running costs and other charges every month from the capital, So the balance sheet prepared at the end of the financial year will give you a precise answer to your question. 

 

 

Another indication of your progress is the total assets. Yes your liabilities are offset against your assets, but they can still be used to measure your economic and business growth in real monetary terms. Most banks measure their growth this way through available resources or assets. 

 

 

FOUR BASIC STEPS TO ESTABLISH EFFICIENT ADVERTISING

 

1. THE AD WORDINGS - This is the prime and most crucial factor for efficient advertising. What your ad says is what your customer is going to read and it makes a big difference and impact on your business and your clients's business. So you have put in a lot of time, effort and clarity in getting it right. The number of words and selection of words is the crux of the matter. Bold headlines should be powerful enough to catch people's attention. Once the attention is attracted, your sub headlines and ad matter should convey the message. They should be appealing and induce prompt action.  

 

2. THE RIGHT PUBLICATION - Choosing the right publications to place your ads is the next important factor. The audience of the publication is your target market to capture and they can make your business grow. Do research on which class of audience and service you intend to focus on and choose it. Decide on whether your product needs a big of small circulation or may be a good combination of both to make a sale. You should be wise in choosing between newspapers, professional publications and magazines. Where you run your ad is the big determining factor.

 

3. BUDGET MONTHLY - Make a advertising budget according to the sales you expect so its neither tight budget nor over spending. This will directly influence your profits and its good idea to make a monthly or three month budget. 

 

4. MAKE REPEAT BUSINESS PLAN - Your aim from the enquiries and current orders should be to make repeat business rather than one time business. The cost of getting new business is much higher than just serving the exisitimng clients. So work on it and see how you can convert every opportunity into repeat business for you in the future. 

 

LEGAL IMPLICATIONS

 

Advertising should always say the truth about the product of service you are advertising. There should not be any misrepresentation of facts as this will only harm the reputation of your product and affect the sales in the future. Your advertising should be fair and just. So its not questioned by authorities or people when released. To protect the general interest, a legal statute now applied in 48 states regarding fraud in advertising was made in 1911 by the magazine Printer's Ink.

 

Later in 1914, the Federal Trade Commission Act (1914) was brought into force and amendments were made later. So the government through the Federal Trade Commission can prosecute advertising agencies and businesses for unfair methods of competition, misrepesentation of facts, false advertising and unfair practices.

 

We also have the Audit Bureau of Circulations (ABC) to protect the public at large, who determine the net paid

circulation of newspapers and magazines in the country. So all major magazines and newspapers which accept advertising, have to submit their audited books of accounts to the ABC.